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Importers Count Demurrage Losses Over Empty Container Delays

Importers operating through the Apapa and Tin Can Island ports are facing rising demurrage and detention costs amid persistent difficulties in returning empty containers, the Africa Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON) has said.

The association said the delays were creating additional financial pressure for importers, freight forwarders and transport operators, while also contributing to congestion around the Apapa port corridor. National President of APFFLON, Otunba Frank Ogunojemite, raised the concern in a statement made available to Vanguard, blaming inadequate facilities provided by some shipping companies for the growing challenge.

According to him, importers are frequently unable to return empty containers within the period stipulated by shipping lines because of inadequate receiving arrangements. He specifically accused the Mediterranean Shipping Company (MSC) of repeatedly failing to provide sufficient facilities for receiving empty containers, saying the situation had created bottlenecks across the port system.

Ogunojemite said the resulting delays were affecting cargo movement, reducing truck turnaround time and worsening congestion within the Apapa axis. He urged the Ministry of Marine and Blue Economy, Nigerian Ports Authority (NPA), Nigerian Shippers’ Council and Federal Competition and Consumer Protection Commission (FCCPC) to investigate the matter.

The APFFLON president also called on the regulatory authorities to ensure that shipping companies complied with established operational standards. He questioned why importers should continue paying financial penalties when they were unable to return containers because the receiving facilities were inadequate.

“It is unacceptable for a shipping company to continue issuing containers to importers without providing an efficient system for receiving the empty containers after use,” Ogunojemite said.

He argued that the problem had moved beyond an isolated operational inconvenience, describing it as a major contributor to congestion and a source of significant financial losses for businesses.

The APFFLON president further maintained that importers should not bear the cost of delays caused by shipping companies. He described the situation as unfair to Nigerian businesses and inconsistent with the Federal Government’s efforts to promote ease of doing business and fair trade.

The association noted that the difficulties were occurring despite several government interventions targeting Nigeria’s port system. These include road rehabilitation around major port corridors, port digitalisation and other reforms designed to reduce cargo dwell time and lower the cost of moving goods.

Ogunojemite therefore called for stronger regulatory oversight to ensure that the benefits of the ongoing reforms were not undermined by operational failures within the shipping industry. He said resolving the empty-container problem would not only reduce avoidable costs for importers but could also improve cargo evacuation, truck movement and traffic conditions around the Apapa port corridor.

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Victor Michael

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